Champaign, IL (WCIA) Social Security is something our grandparents and many of our parents can count on in their retirement. But for younger people that may not be the case. More baby boomers will retire in the next 15 years leaving a smaller group of workers paying social security payroll taxes. Today’s Your Dime Sponsor Rooted Wealth Advisors explains how to make the most of your social security benefits.
Social security and the changes with it have been a big topic lately. Here is why it may look different today and for years to come.
Status of Social Security
Number of retired workers is projected to double in 50 years
People are living longer
National Birthrate is low
By 2035 payroll taxes and other income will pay only 80% of program costs. (The Old-Age and Survivors Insurance and Disability Insurance Trust Funds)
Here are ways can those who may fall under these categories can prepare.
Timing Your Distribution Benefits
Dependent on Retirement Age
Working up to full retirement age may increase benefits and accrue higher gains – Full retirement age depends on year you were born (1943-1954 = 66) (1955-1959 = +2 months) (1960 or later = 67)
Consider Spouse Options
Your job may affect benefits.
Preparing For Retirement Income
3 Ways to Supplement Social Security Benefits
Employer-defined benefit plans
Savings and investments
Factoring in costs during retirement (healthcare, insurance, etc.)
Connect with Rooted Wealth Advisors here.